State, AMD reach deal on Luther Forest

State Senate Majority Leader Joseph Bruno announced this afternoon that the state and Advanced Micro Devices Inc. have signed a “general project plan agreement” to build a $3.2 billion computer chip manufacturing plant at the Luther Forest Technology Campus in Malta.

Bruno called it a significant step toward construction of the project.

New York is giving AMD $1.2 billion in financial incentives, including $650 million in cash, to fund the project. AMD has said it will employ more than 1,200 people at the site. Construction could begin as early as next year.

The state and AMD, of Sunnyvale, Calif., the No. 2 computer chip maker behind Intel Corp., announced the deal back in June, but that was a nonbinding agreement.

Bruno said in a statement the agreement “represents the broad parameters to develop the site,” and clears the way for a service road into the tech park.

It was not immediately clear if any other agreements must be struck to pave the way for the construction of the factory at the site.